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SMEs contribute about 40 per cent to Kenya’s gross domestic product (GDP) as it employs more than half of the working population.

To access the loan facility, vendors need to follow an online application. Feedback on whether or not one qualifies is received within two days.

The Jumia lending platform hopes to simplify the process for SMEs to access loans based on their operational, transactional and behavioural data from the online shop to determine the amount one can get.

Sellers on Jumia were to access loans of up to Sh30,000, repayable within six months, to finance their businesses. Loans were to be repayable at an interest rate of 1.2 per cent per month through the Jumia seller’s Branch app via M-Pesa.